Other things held constant, which of the following will not affect the current ratio, assuming an initial current ratio greater than 1.0?
A. Fixed assets are sold for cash.
B. Long-term debt is issued to pay off current liabilities.
C. Accounts receivable are collected.
D. Cash is used to pay off accounts payable.
E. A bank loan is obtained, and the proceeds are credited to the firm's checking account.
Answer: C
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A) The principal debtor. B) The guarantor. C) The codebtor. D) All of the above.
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a. True b. False Indicate whether the statement is true or false
Innovative Inc is experiencing a boom for the products it has introduced recently. The estimated annual sales projected for the next five years are given in the following table. The current capacity is equivalent to only $100 million sales
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